A volatile year has gotten even more so this week for one of the biggest companies in the world. Amid the ongoing Elon Musk split from the US President Donald Trump’s inner circle, his most prominent company has paid the price. Now, Tesla (TSLA) has seen its price target lowered by Goldman Sachs amid its recent stock fall.
The VE manufacturer rebounded somewhat on Friday, firmly situating itself above the $300 mark. However, experts have cautioned over its worth far exceeding its value, with a correction potentially in store. Now, it seems as though Goldman Sachs is in alignment with that thinking.
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Tesla Gets Lowered Price Target From Goldman Sachs as Stock Faces Uncertainty
Tesla has experienced a whirlwind over the last several weeks. After CEO Elon Musk announced he was stepping away from the Trump Administration’s DOGE commission, its value skyrocketed. Now, after speaking out against the US president, it has lost $152 billion worth of market cap.
All eyes are on what the company’s shares will do next. There appears to be strong opinion forming on both sides of the aisle, with some expecting it to continue rising and others predicting a correction. For Tesla (TSLA), Goldman Sachs has aligned with the latter, as the bank has lowered its price target amid its recent stock fall.
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According to a report, analysts at the bank dropped the target from $295 to its current $285 projection. Moreover, they have reiterated a neutral rating on the Magnificent 7 tech giant. The analysts noted that monthly data in key regions came in weaker, while quarter-to-date deliveries through May are down drastically year over year.
Shares of the company were up 5% on Friday, returning to the $300 level. However, they are still down more than 13% over the last five days, with just 51% of 55 analysts giving the stock a buy rating. With a median price target of just $307, it is expected to remain around this range for the next 12 months.